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Class 2 NI. What about us poor expats paying voluntary contributions?

Class 2 NI. What about us poor expats paying voluntary contributions?

Old May 23rd 2020, 8:27 am
  #316  
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Default Re: Class 2 NI abolished. What about us poor expats paying voluntary contributio

Originally Posted by Giantaxe
I got two letters. One telling me the rates for the next tax year and another correcting an error on the first!
Hmmm. I should probably drop them a note then.
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Old Jun 18th 2020, 2:20 pm
  #317  
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Default Re: Class 2 NI abolished. What about us poor expats paying voluntary contributio

Originally Posted by markonline1
Ok, I’ll hold up my hands, I’m clueless about all this. I have however been making my class 2 contributions since I moved out here. Pretty sure I always get the letter around April with the amount I need to pay and how to pay it, but this year, I’ve had nothing. I assume everyone else that was expecting a letter have had theirs this year?
Arrived today. Letter was dated 4th April LOL.
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Old Jun 19th 2020, 6:01 am
  #318  
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Default Re: Class 2 NI abolished. What about us poor expats paying voluntary contributio

Originally Posted by markonline1
Arrived today. Letter was dated 4th April LOL.
I have not received a letter, online it says I need to pay $5x.xx by 5 April 2025, what amount is on the letter for class 2, all the other years I paid we’re closer to GBP150-160 range depending on which year. I assume my amount is because I have a partial credit, but because it’s a much lower rate for that tax year?
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Old Jun 19th 2020, 6:02 am
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Default Re: Class 2 NI abolished. What about us poor expats paying voluntary contributio

Originally Posted by markonline1
Arrived today. Letter was dated 4th April LOL.
I have not received a letter, online it says I need to pay $5x.xx by 5 April 2025, what amount is on the letter for class 2, all the other years I paid we’re closer to GBP150-160 range depending on which year. I assume my amount is because I have a partial credit, not because it’s a much lower rate for that tax year, it only shows as 48 weeks, but that still does not explain the difference.
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Old Jun 19th 2020, 10:26 am
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Default Re: Class 2 NI abolished. What about us poor expats paying voluntary contributio

Originally Posted by tht
I have not received a letter, online it says I need to pay $5x.xx by 5 April 2025, what amount is on the letter for class 2, all the other years I paid we’re closer to GBP150-160 range depending on which year. I assume my amount is because I have a partial credit, not because it’s a much lower rate for that tax year, it only shows as 48 weeks, but that still does not explain the difference.
£159 for the year.
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Old Jun 19th 2020, 5:16 pm
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Default Re: Class 2 NI abolished. What about us poor expats paying voluntary contributio

Originally Posted by markonline1
£159 for the year.
This is a sample from my recent 'catchup' letter. It shows (column 3) that the amount due varies slightly, and it's this variation that makes it so you can't just submit a payment ... I presume. If you submit an amount 3 GBP lower, or higher, than needed for that year, presumably your payment could be rejected.



Which reminds me - I need to call them to find out the amount for 2019-20, and ... perhaps ... get the secret code so I can tie my online payment to my specific account.
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Old Jun 20th 2020, 12:48 am
  #322  
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Default Re: Class 2 NI abolished. What about us poor expats paying voluntary contributio

Originally Posted by Steerpike
This is a sample from my recent 'catchup' letter. It shows (column 3) that the amount due varies slightly, and it's this variation that makes it so you can't just submit a payment ... I presume. If you submit an amount 3 GBP lower, or higher, than needed for that year, presumably your payment could be rejected.



Which reminds me - I need to call them to find out the amount for 2019-20, and ... perhaps ... get the secret code so I can tie my online payment to my specific account.
I used the format it had online for the reference and sent from a UK bank account. I had multiple years so I sent 5 payments each matching the amounts on the letter, all on the same day. I checked back every week or so online for a month. In the end it showed up that only the most recent year was complete. When I called them (I had to be transferred to the International dept) they put in a request to re-allocate to the older years.

I was sending them in 2 batches, this happened both times, the 2nd call they asked if I had called when I sent the payment to note which year it was for ( I had not either time)... the fact each payment matched an amount on the letter and it would make logical sense to pay the older years first apparently is not how they operate.

I only owe the last year now, so I assume if I send each year it can only be allocated to that year. It shows a partial amount so I will send that first to see if it completes the year.
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Old Jun 23rd 2020, 1:21 am
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Default Re: Class 2 NI abolished. What about us poor expats paying voluntary contributio

I've checked, and discovered that I have 34 years of contributions. It will cost me $761.80 to make it up to the maximum amount of £175.20, compared to the current quote of £171.08 per week. This is the maximum I can receive, since I opted out for a number of years and had some contributions made into a personal pension plan.


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Old Jun 23rd 2020, 1:32 am
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Default Re: Class 2 NI abolished. What about us poor expats paying voluntary contributio

Originally Posted by ivanidea
I've checked, and discovered that I have 34 years of contributions. It will cost me $761.80 to make it up to the maximum amount of £175.20, compared to the current quote of £171.08 per week. This is the maximum I can receive, since I opted out for a number of years and had some contributions made into a personal pension plan.
Paying £761.80 will increase your OAP by £260.30/year. (1/35th of £9110.40). If you are not working and are close to receiving your OAP then you'll get your contribution back very quickly (3 years after you start receiving OAP) and then be in profit by about £260/year index linked for the rest of your life. Note that you have until April 5th 2025 to pay it so can delay buying the contribution for another 4-5 years.
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Old Jun 23rd 2020, 1:17 pm
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Default Re: Class 2 NI abolished. What about us poor expats paying voluntary contributio

Originally Posted by ivanidea
I've checked, and discovered that I have 34 years of contributions. It will cost me $761.80 to make it up to the maximum amount of £175.20, compared to the current quote of £171.08 per week. This is the maximum I can receive, since I opted out for a number of years and had some contributions made into a personal pension plan. ....
Didn't you qaulify for Class 2 contributions? ..... Did you ask?

If you qualify for Class 2 you can cut the £762 down to about £145.
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Old Jun 24th 2020, 8:28 am
  #326  
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Default Re: Class 2 NI abolished. What about us poor expats paying voluntary contributio

I got my letter too, confirming I could pay 159 pds for current year. I didnt realize I would get a letter after arranging to back pay 4 years last year. I was expecting I would need to call them to find out the amount I would need to pay, I think I am 3 or 4 years away from the max. Letter arrived out of the blue with all the payment info - all paid - easy.
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Old Jun 24th 2020, 8:30 am
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Default Re: Class 2 NI abolished. What about us poor expats paying voluntary contributio

Originally Posted by Pulaski
Didn't you qualify for Class 2 contributions? ..... Did you ask?

If you qualify for Class 2 you can cut the £762 down to about £145.
From what I see online, Class 2 contributions are for the self employed. I don't see how I can register to pay that rate, since I'm working, although in the US and not UK.

At least there is a link to pay class 2 online, I haven't found a link to pay the £762 they want me to cough up.
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Old Jun 24th 2020, 8:53 am
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Default Re: Class 2 NI abolished. What about us poor expats paying voluntary contributio

Originally Posted by ivanidea
From what I see online, Class 2 contributions are for the self employed. I don't see how I can register to pay that rate, since I'm working, although in the US and not UK.

At least there is a link to pay class 2 online, I haven't found a link to pay the £762 they want me to cough up.
It's a lot more than just self employed, but you need to apply to be assessed for eligibility for Class 2 contributions, and they will send you a brief form to complete. About the only requirement I remember was that you were employed immediately before you left the UK (you have to give your ex-employers name and address), and took up employment "immediately" after you arrived in your new home country (you have to give the name and address of your new employer), but they seem, from what I have heard from others, to be flexible there (after arrival in you new home country) about what "immediately" means.

Last edited by Pulaski; Jun 24th 2020 at 8:56 am.
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Old Jun 24th 2020, 8:53 am
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Default Re: Class 2 NI abolished. What about us poor expats paying voluntary contributio

Originally Posted by ivanidea
From what I see online, Class 2 contributions are for the self employed. I don't see how I can register to pay that rate, since I'm working, although in the US and not UK.

At least there is a link to pay class 2 online, I haven't found a link to pay the £762 they want me to cough up.
read the thread or something like this, page 9:
https://assets.publishing.service.go...32814/NI38.pdf
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Old Jun 24th 2020, 9:07 am
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Default Re: Class 2 NI abolished. What about us poor expats paying voluntary contributio

Originally Posted by Pulaski
It's a lot more than just self employed, but you need to apply to be assessed for eligibility for Class 2 contributions, and they will send you a brief form to complete. About the only requirement I remember was that you were employed immediately before you left the UK (you have to give your ex-employers name and address), and took up employment "immediately" after you arrived in your new home country (you have to give the name and address of your new employer), but they seem, from what I have heard from others, to be flexible there (after arrival in you new home country) about what "immediately" means.
I posted my experience recently - National Insurance paid over 30 years ago ... any use? . I was approved for class 2. I worked full-time in UK for just a few years before coming here, then worked full-time pretty much non-stop for 30 years or so here in the US. Look at post #4 in that thread. To extract the key point here:

This page - https://www.gov.uk/voluntary-nationa...-contributions says the following, regarding class 2 and class 3:
Living and working abroad
Class 2 - but only if you worked in the UK immediately before leaving, and you’ve previously lived in the UK for at least 3 years in a row or paid at least 3 years of contributions

Living abroad but not working
Class 3 - but only if at some point you’ve lived in the UK for at least 3 years in a row or paid at least 3 years of contributions


Best bargain ever!

Last edited by Steerpike; Jun 24th 2020 at 9:24 am.
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